Kathmandu. Millions of people use cars in neighboring India. Car owners also buy insurance. This insurance is designed to ensure the safety of the vehicle.
Insurance covers any damage caused by a car problem, accident, or other cause. That’s why it’s important for people to insure their vehicles.
However, many people only use their cars occasionally when traveling, traveling, or in emergencies. The rest of the day the car is parked in the garage or at home. If they have regular car insurance, they have to pay full premiums even when their car is not in use. This will cause them financial loss.
Now a special and important car insurance scheme is going to be launched in India. Now people pay premiums based on how much they drive their cars. If the car is parked at home, then there is no need to pay a premium for it.
Insurance regulator IRDAI has launched a ‘Pay As You Drive’ insurance policy. This insurance policy can be very beneficial for those who rarely drive their car. This insurance is a type of car insurance. Which allows the policyholder to reduce their premium for their own damages. This means that if someone has this insurance, they will have to pay a premium based on how much they drive their car. They have to pay a certain premium based on the amount of car they drive.
Under this insurance, the policyholder pays a premium based on the driving of his car. This car policy is based on the distance traveled by the car. Simply put, this insurance can be defined as ‘drive less, pay less’.
This insurance is available for 1 year. It can then be renewed. Under this insurance, the premium of the insured is based on the distance traveled by the car in a year. When buying this insurance, you should choose a slab of estimated annual kilometers for your car. For example, one can choose between 3,000 kilometers to 5,000 kilometers, etc.
If the car is driven less than the selected slab, the insured may have to pay a lower premium than regular motor insurance. When this insurance plan is taken, the company may request to install a telematics device to track the mileage of the car. Many insurance companies offer this policy.
